Anglo-Australian mining giant Rio Tinto’s fourth-quarter iron ore output rose 49% thanks to strong demand from China, Bloomberg reported. Output reached 47.2 million metric tons for the quarter, taking full-year output to a higher-than-expected 217 million tons. “This was another very strong quarter for iron ore production, driven by continuing high demand from China,” Rio Tinto CEO Tom Albanese said. China’s iron ore imports rose by 22% in December to the second-highest level on record. Although Albanese was cautious about the prospects for 2010 as stimulus packages in several nations start to wind down, it is thought that robust Chinese demand may strengthen the company’s hand at this year’s iron ore contract price negotiations. Last year, Chinese steel mills were forced to buy iron ore on the spot market, having failed to reach a pricing agreement with Rio Tinto, BHP Billiton and Vale.
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